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Technology Stocks : Ascend Communications (ASND)
ASND 212.50+1.5%Dec 24 12:59 PM EST

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To: djane who wrote (38869)3/12/1998 5:31:00 AM
From: djane  Read Replies (1) of 61433
 
3/11/98 IDG article "Quit hogging the wire! AT&T may cut off 'Net users after three hours." [Now I'm confused. I thought there's an abundance of bandwidth...last article for tonight, I promise]

nwfusion.com

By Marc Ferranti
IDG News Service, 3/11/98

As the number of consumers going online continues
to explode, AT&T is the latest Internet service
providers to consider changing its access and
pricing policies.

AT&T today finished a test in which it cut off some
online users of its WorldNet ISP service after three
hours. Over the next few weeks AT&T will
consider whether to make a cap on session times part of its permanent
policy, according to Mike Keady, a company spokesman.

The test involved cutting people off at various times of the day including
peak times, and in specific points of presence (POPs) around the country,
Keady said. WorldNet offers an unlimited Internet access plan for $19.95

''It's the same problem all the ISPs are experiencing ... people are
increasing usage and facilities are being tied up and so people are not
getting in on their first try,'' said Keady.

There are a variety of options that ISPs can try as they scramble to build
up infrastructure, Keady said. One is to simply raise access fees for
"unlimited access" plans, as America Online Inc. will start to do next
month, Keady noted. Or, ISPs can initiate session timeouts after users are
on for hours at a time.

AOL has announced it will raise its $19.95 unlimited access fee by $2 next
month, to $21.95.

''A small number of customers use the facilities much more than the
average customer," Keady said. ''So do you raise the price for everyone?''

AT&T has not made a decision on what to do, but will analyze the results
of the session-timeout test over the next few weeks, Keady said.
WorldNet gives Internet access to 1.2 million consumers.

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